Boeing has avoided criminal prosecution in connection with the 737 MAX crashes of 2018 and 2019, which resulted in the deaths of 346 people, after reaching a settlement with the U.S. Department of Justice. The agreement, finalized Thursday, includes a $2.5 billion financial penalty and requires Boeing to implement enhanced safety protocols.
The deal allows Boeing to sidestep a potential felony conviction that could have disqualified the company from lucrative government contracts. However, civil litigation brought by families of the victims is ongoing. Families have sharply criticized the settlement, deeming it insufficient given the scale of the tragedy and arguing it shields Boeing from full accountability.
The crashes – Lion Air Flight 610 in October 2018 and Ethiopian airlines Flight 302 in March 2019 – were linked to a faulty Maneuvering Characteristics Augmentation System (MCAS) that automatically forced the aircraft nose down. Investigations revealed boeing failed to adequately inform pilots about the system and its potential risks.
Under the terms of the agreement, Boeing will pay $1.77 billion in compensation to the families of the victims, $500 million to establish a victim compensation fund, and $243.6 million in fines. The company has also agreed to an autonomous compliance monitor for three years to oversee its safety practices.
The Justice Department and Boeing maintain the settlement serves the public interest by providing financial relief to the victims’ families and ensuring Boeing undertakes necessary reforms. Despite this assertion,attorneys representing the families have vowed to appeal the decision,arguing it falls short of delivering true justice.